2013-01-21
2013-01-29
x apple

STATION
CNBC 26
CNNW 9
KQED (PBS) 6
KQEH (KQED Plus) 5
KGO (ABC) 4
KRON (MyNetworkTV) 4
KRCB (PBS) 3
CNN 2
KNTV (NBC) 2
MSNBCW 2
CSPAN2 1
KICU 1
WETA 1
LANGUAGE
English 66

Set Clip Length:


as we near the 1500 mark on the s&p 500. and a 0.1% contraction is expected for the german economy in the fourth quarter. those figures will be out in just under 30 minutes. >>> the governors of the banks of italy -- trade in siena. and imf's christine legarde tells us that central bank stimulus is still needed. >> we have the central bank on the one hand which have done quite a lot, which have been the fireman, in a way. and you have the policymakers on the other hand particularly in the eurozone who have made some progress and need to keep the momentum. >> now, any minute now, we're expecting the results from germany's ifo institute. january business climate index survey is expected to rise to a reading of 103 from 102.4 in december. this, of course, follows an increase in expectations in the dew survey earlier this week. we've seen an increase in the pmi surveys for germany over the last couple of months. as the german economy particularly looking to climb out of its contraction in the fourth quarter, we're waiting on the ifo senior va to tell us whether sentiment broadly speaki

driven economy to consumption. so you're probably not going to see double digit growth but i think 8% is in the cards. >> is the u.s. still the best place? >> yes. >> to invest, guys? >> mandy, what is frightening here is that we all agree that some of the best opportunities are overseas. perhaps those markets need to play catch up here. i would also add that commodities have been an area left in the dust. if the fed is very successful, igniting inflation, which may be in the cards in the future commodities would be a place to hedge someone's portfolio as they get out of bonds into equities right now. very quickly we're noting today apple is, let me put it this way. exxon is close to overtaking apple as the most valuable stock in the world. significant at all? are you guys watching that at all? >> we are watching it. it is old schools coming back to modern day trading markets that are here. we've all watched apple. we've seen the run in apple. everyone is very familiar with the stock and the products. it just got to prices that were way too lofty for retail investors and when we star

with the u.s. energy revolution, aring if to help us this year on the economy. let's bring in our ace investors, david goldman, former head of income grout at bank of america and michael farr, author of "restoring our american dream, the best investment. abigail doolittle, the investors killed it after hours. >> i think what's going on is an important inflexion point. we had another earnings miss, another guide down. this once superstar amongst the text stock has been falling for a few months. i think traders answered vestors were waiting for this report to see what the future with look like. unfortunately it's not as bright as some might have hoped for and that's now showing up in the stock. >> is there an offset here? google did very well today and revenue was very good. apple versus google consideration apple stop this rally? i don't think so but i want to get your take on this. what does it mean apple is doing badly? is it an apple thing, an economy thing or consumer thing or what? >> i think that's a great question. i think right now i tend to agree with you. i think investors wi

going in, but not as much. and of course the anxiety of potentially healthy global economy is always going to give traders an excuse to try to sell what is close to some historically low levels of yield, high levels of price. >> yeah. and when you look at equities you see this huge move in the markets. are we taking a bit of a breather? jordan, how do you see it? >> i think it's been constrained. uncertain election and fiscal cliff. and all of a sudden people are starting to pay attention to the fact there are -- inflation's low. i think the market starts to run, forest run. >> not a lot of alternatives out there. right? >> even the high paying growth stocks are paying more to bonds. and the allocation hasn't happened yet. but beware. i think that could happen. >> john, what gets people to make the great exodus out of treasuries and into equities? if you're looking to the catalyst of what can take it to the next level, that would certainly be one of them. >> yeah. i think we have to see a lot higher level of inflation which we haven't seen thus far. you have corporate yields, dividen

actually a friend of the system and the economy. take a listen to this one. >> i think jpmorgan was a -- was not just a fair weather friend. we were there in good times and bad times for everybody, including nations. for spain and italy we will tell you -- we were lending $15 billion net of collateral. net derivatives, spain and italy. yes, it's governments and multi- nationals if you want to be transparent. what would you do? what would you all do? if you were my board of directors, it's easy to say don't take the risk. move out. we've been in spain and italy, one for 60 years, wur finish over 100 -- one for over 100. we're not a fair weather friend. companies want us there. we have to manage that risk. something may go wrong. >> got to tell you guys, the feedback after that panel was actually not good. a lot of people criticizing jamie just in the hallways. obviously a lot of people happy to see him defending the bank. a lot of bankers here. the mood, nature of where we are. there was some criticism. the other big news, by the way, not happening in davos -- yeah? >> i was goin

have been overly optimistic on the economy. and, we've seen autos really rebounding over the last year. we're really starting to see improvement in the housing market. so, i think those are some very fundamental pieces of the economy that could really lead to some stronger growth in the future. >> reporter: as for retail investors rediscovering stocks this january, not everyone thinks the reunion is for real. some experts say the market will have to rally a lot longer before that happens. suzanne pratt, "n.b.r.," new york. >> susie: from a smartphone in your hand to a smartphone in your glasses, still ahead, the latest fashion trend: wearable technology. exxon-mobil is back on top. it's reclaimed the coveted title as the world's most valuable company. apple now slips to number two. exxon is woh an estimated $417 billion a apple is $4 billion less. since apple hit $700 a share in september. it has lost roughly $250 billion in value. the change comes exactly one year after the tech titan knocked the oil giant out of the top spot. shares of microsoft ended flat today, after posting quarte

've heard from our republican colleagues economic uncertainty is bad for the economy. guess what? it is. and yet that's exactly what you are doing. another big dose of economic uncertainty. >> reporter: republicans shifted gears on the debt ceiling after a strategy session last week. worried that they have lost the public debate, republicans were clearly trying out a new message tod. >> balancing the budget over the next ten years means we save the future for our kids and our grandkids. it also means that we strengthen programs like social security and medicare and medicaid that can't continue to exist in current form without some kind of controls. >> reporter: there is just one problem. democrats argue the "no budget no pay provision" violates the constitution's 27th amendment which says any changes congress makes in its pay can't take effect until after the next election. >> we should not say to a member, "if you think the budget before you is not good for the country, vote against it and you won't get paid. if you think it's not good for the country, you better vote for it because yo

a greater growth in the u.s. economy i think is still a question mark. >> down europe, up 10% china. okay. china, can be a source of top line growth. latin america could be a source of top line growth. >> and when asked about china, the words for sure, the idea that china is staging a rebound. >> and this is despite the fact that they have terrible fraud there. kind of overlooked it. when you're in that virtuous circle, it doesn't seem to matter what you say that's negative. people want to grasp the positive. it's a different kind of market from what we've had for multiple years. >> and to melissa's point about correlation, it's not that risk on, risk off, which we have dealt with for so long now. every hedge fund would come in, and say, europe's bad today, risk off. >> there are no more excuses for the fund managers who are underperforming the s&p 500. this year could be a good year, a different kind of year from the hedge funds that have done so poorly. >> they're going to have to do actual work. >> right. they will have to show performance now. >> they'll have to go through these quart

in 2014. the moves do follow heavy pressure from shinzo abe despite reflation and a flagging economy. but the yen actually settled higher with some economists. look at that. that is suggesting they ended up almost 1.2% above the dollar. there's questions whether the 2% dollar stated can be achieved. now there's plenty more on the boj's inflation packed with the government live. hi. >> hi, kelly. the bank of japan and the government issued a joint statement that set a 2% inflation target today replacing its current 1% price. from japan's monetary policy has shifted into unexplored territory. the boj agreed to try and hit the 2% target as quickly as possible rather than over the medium to long-term. but the target will probably be difficult to meet. forecasts released by the bank showed that the consumer price index will rise to just 0.9% in the fiscal year starting in 2014. boj officials said that the 2% target will be possible if the country's growth potential is improved by further government reform. the joint statement is binding for both the government and the boj calling on both

the american, the japanese and american economy. there is going to be hell to pay and it's going to happen soon. >> you're holding your news and buying. >> neil henessey, can we get back to all-time highs for the dow and the s&p. >> oh, michelle, i think easily. if you look at the dow jones right now, the price-to-sales ratio is 1.28. the most it will go up to is 1.5 so that leaves 17% on the upside or if hundred points. more importantly you look at the s&p 500 companies, they are sitting on 1.5 trillion in cash, 1.5 trillion -- >> hold on. you think 2,300 points in the dow? what are you talking about? >> very much so. >> i mean. you're talking about the high in 2007, michelle, was when the price-to-sales ratio of the dow jones was at 1.8. we're 40% away from that number, but, i mean, the companies are in great shape. there's so much cash sitting on the sidelines, and at some point in time the investors are going to get out of fix the income and move over towards equity. >> can i ask you a question and i'm very much concerned about this. what happens when the bond bubble bursts and those invest

your sense of what's going on in terms of the global economy. how do you see things? >> sure. why don't we start in europe. europe remains a challenging place. i think that the actions that mr. draghi took have technically been very strong. i think they have put a safety net under the market, but i think the challenge, is and it's one of the big topics here, is how do we get growth back into these economies. fundamentally that's what we need to do, and i don't think there's a clear path to that but it will take some time. >> been a tough couple of years. >> yes, it has. >> let's talk about citi, you're repositioning the firm. how are you planning on doing that and what's the vision going forward? >> our strategy, maria, is really focused around a few of the big secular things going on in the world. globalization, urbanization and digitization. if you think of globalization, thinking of what's going on in the economy, most of the growth is coming from the developing countries. you look at 2008 to 2012, 45% of world growth came from china. a trend we're going to continue to see the next

of the federal reserve, talks with us about the debt crisis, the economy and the fed. alan blinder joins us. >> tom: that and more tonight on "n.b.r."! >> susie: just a single cent higher. earnings from software "giant" microsoft were only a penny more than what anysts were expecting. microsoft shares slipped as much as 2% on the news in after hours trading. here are the numbers: microsoft earned $0.76 a share, down 3.7% from a year ago. revenues rose more than 2.5% to $21.5 billion, but also below expectations. the results mark the first quarter to include sales of microsoft's new windows 8 operating system, and its tablet computer, the "surface". sales of its windows division jumped 24%, but no financial details on the surface tablet. wel haveore analysis on microsoft, in a just a moment. >> tom: the other big tech story today: apple and its big fall following yesterday's lackluster results. the stock lost 12% of its value or $63 a share, closing at $450 and change. suzanne pratt reports. >> reporter: no doubt this was a sour day for investors. not only did the stock log its largest dolla

of an economy. steams you come there and you obviously things don't always always come through. northbound suggested it's because the adjectives are fun. do you buy that? >> no. i would say the last couple of years, people were pretty negative. i have to say, though i've only been here a day, people are pretty positive this time. a bit more optimistic about what might be happening. i wouldn't say it's time to pop champagne, but people have been more positive this year. >> thank you for being here. joe, becky, back to you guys. we'll see new a little bit. we have a fun segment for you at 6:30. >> you do. i looked through some of the stuff, andrew. you're a regular skier. >> it's a little embarrassing, but we'll show it to you. >> don't give it away. >> but your heel -- >> there it is. >> your heel is not tethers to the ski, right? that's what makes it -- right? >> this is a different type of skiing that i had never done before. >> oh, god. good. >> now you've got the piece. you'll see it. there might be a fall or two involved. >> that's how your hair got messed up yesterday. >>> coming, wha

is positive, and if you start looking at how the businesses and the economy is doing and juxtapose that against the politicians who aren't behaving very well, you have to be positive regarding the situation for the future stocks. >> so you like stocks more for the fundamentals than you do for any fed or congressional action right now. am i reading that right? >> absolutely, absolutely. i mean, for the third quarter of last year our stocks had earnings of over 6% which compares very favorable, and, you know, we're looking into the future and then we compare that to the general growth rates of the u.s. economy, and there's no question they are going to outperform so it has an impact. >> the imf lowered global growth numbers today, nobody seems to care because the money has to go some place and it's not going into the bond market. >> point well taken. in the past you talked about gold. >> was that long winded? >> we're about 15%, 20% in gold right now. listen, this is a stagflationry environment. going to get a lot worse. you have to own gold and oil. >> be globally diversified and mu

that's bullish for the economy. >> if you look at some of the trucking names. normally take out the airlines. the airlines have done quite well if they reduced capacity although if you look at some of the reports i think it was u.s. air, but i believe they said that some of their seats were down a bit even though they cut capacity. that was a little bit of a warning sign. even on trucking side it was okay. but now as a trader and investing in the market you have to hook six months ahead. what will happen coming down. we know everything is done well. we know they are up 7%. what's the next move. that's where you get concern. >> we look at the leading indicators. pmi from china, europe, u.s. today the leading indicators in that sentiment indicator is telling us we're not done. we could bleed higher in terms of economic sentiment and economic activity and the new orders component the global pmi looks like it will print above 50 in january for the first time in eight months. >> i'm sure there's a stock market correction. >> when? >> the stock market among other things including what

the budget, how to grow the economy. that's the kind of debate the country desevens. by the way, if we keep going down this path, we will have a debt crisis. it's not an if question, it's a when question. >> i remember him, alternativest young congressman from wisconsin that used to come on "squawk box." >> still fighting budget balthsds. >> if he's going to go on somewhere, at least he went on with david. congress must pass a stopgap spending bill by march 27th to keep the u.s. government running. and don't do that with your sneezes. >> what was that? i held it in. >> that's like -- >> i've been trying to hold it in because you were talking. >> no, no, it's going to come out. that's bad for you. something inside is going to pop or something. like an anneurism. it's bad to be repressed like that. let it out. >> that's his whole life. >> oh. >> let it out. >> michelle caruso ka brar ray. you're like a guest on the show, but thank you for being kind. >> it's the greatest feeling in the world. let it out. >> yeah, others have -- anyway, more trouble in egypt, a state of emergency has been decl

where we are not really seeing other signs of the economy reinforce it. i'd like to see some reinforcing signals and we're not, but for the time being two weeks of numbers this low are very tantalizing. >> reporter: jobless claims are now at roughly the same level they were in early 2008. also, don't forget that up until this week's cold-weather snap, temperatures were unseasonably warm, letting builders continue projects in what would typically be snowy weather. >> temperatures have been above normal and typically when you do have above normal temperatures economic activity and in particular jobless claims do show some bias for exaggerated improvement that perhaps we may not get the layoffs that are typical around this year in particular in the construction industry. >> reporter: construction is expected to continue to be strong, estimates have the industry adding as many as 140,000 jobs this year, that's up from a meager 18,000 in 2012. but construction is just one sector, and, much like the weather in january, the jobs picture could go from hot to cold just as easily. ruben ramirez,

. >> thanks so much, bill. we are talking economy and politics with representative eric cantor right now, and representative, great to have you on the program. >> great to be here with you. >> thank you so much for joining us. >> let's get right to t.yesterday or this week rather the house passed a debt limit extension until mid-may. what does that buy us? >> well, what is buys us is a time for this debate about borrowing and spending to really develop into what i hope will be a robust discussion that will yield some results. we know that for almost four years the united states senate has not passed a budget, and that's part of the problem that's been contributing to the out-of-control spending in washington, and what we've said is we will extend the debt ceiling for three months to allow time for the united states senate to write a budget so we can then begin the discussions on how we're going to repay this money that we're going to borrow as well as begin to manage down the debt long term. >> what's the realistic vision in terms of a budget? i mean, this senate will have its budget pla

in equity. the economy is going to be lousy for the next two years. >> so we're running this online poll which is asking this question, this lack of current crisis that we have, is that because there has been real progress or is it century? >> no. i think it's a product. the ecb has stepped up and merkel and others committed to some day doing the kinds of physical transfers of banking units they need. and there has been some real progress even off that cleanup. but none of that is going to offset the unemployment numbers, barred from that the lack of investment, the constraint on demand from the austerity programs, the feedback in europe. so, again, it is real progress, but that's not going translate to growth anytime soon. >> when you say not going to translate into growth, what is the outlook? >> to me, what i've been saying for a few months is that europe's past is bounded from below and from above. we've ruled out the worst of the crisis, thank god. but the austerity, unemployment and continued downward wage pressures put a tight ceiling on growth. so germany is growing less than 11%

the california housing market's come back, is coming back, sixth largest economy in the world, and you guys are in the thick of it, right? with some areas that were very depressed that are now roaring. >> well, we are really encouraged by the turnaround in california. what we reported this morning is that in the fourth quarter or california house sales increased 80% in the quarter. that's been the slowest market to turn around. but as you know, a very big economic engine in this country. and so for us california means not just our own housing start, activity in our housing operation, but also that's the major market for our west coast saw mills and ultimately for the timberlands on the west coast. >> this morning i was on the "today" show and savannah guthrie, she's fabulous, she asked me, jim, all these companies are making a lot of money but are they doing any hiring? i said not that much. what i should have said is you guys in your transcript today make it very clear you are actually hiring people right now. >> well, we are. and most of the hiring in our company today is in our wood prod

horn) vo: wherever our trains go, the economy comes to life. norfolk southern. one line, infinite possibilities. zwroo well, today is election day in jordan, and there are a couple of noteworthy things about the voting there today. yes, jordan is a kingdom, but people do get to pick some of the parliament. for the first time ever international observers were allowed to be watched over the vote looking for signs of glitches and intimidation. so far they report everything running smoothly. jordan remains pretty stable in a region turned upside down by the arab spring. this is a major point, too. jordan is friendly to israel. it's not without its problems though. that does bring us to israel. election time there as well. voters across israel choosing to keep prime minister benjamin netanyahu on the job. only his coalition kept enough seats to just stay in power. lost seats though, many of them to religious parties to the far right and to a new party with a surprising popularity. here's cnn's atika shubert. >> reporter: who is j.r.lapite. after tuesday's election, he is also the newes

the lights out. they do favor general motors. i'm saying that the rails as an indicator of the economy, may be failing, because they are so coal-based. but union pacific reports tomorrow that is less coal-based and i think they blow it out. union pacific is a winner. >> interesting point. we'll get a lot more after the break. stick around. we'll see how mcdonald's opens for trading now that we've got their earnings comps. >>> speaking of restaurants, we'll talk to ron shaich about the state of his business and what's new at the chain. [ maleu turn an entrepreneur's dream... ♪ into a scooter that talks to the cloud? ♪ or turn 30-million artifacts... ♪ into a high-tech masterpiece? ♪ whatever your business challenge, dell has the technology and services to help you solve it. whatever your business challenge, i have obligations. cute tobligations, but obligations.g. i need to rethink the core of my portfolio. what i really need is sleep. introducing the ishares core, building blocks for the heart of your portfolio. find out why 9 out of 10 large professional investors choose ishares fo

the connections of a complex, global economy. it's just one reason over 75% of our mutual funds beat their 10-year lipper average. t. rowe price. invest with confidence. request a prospectus or summary prospectus with investment information, risks, fees and expenses to read and consider carefully before investing. >>> our second story "outfront," deep freeze. it's the talk for a lot of people in this country tonight. the sub zero temperatures creating dangerous conditions for areas that have not felt the extreme chill in years. we got very spoiled here in new york. it was kind of springtime all winter. the cold now is blamed for at least four death and it follows the warmest year on record. some scientists are blaming global warming for these ups an downs, but the public doesn't seem so convinced. the number of people who believe in global warming is actually down 8% from 2008. only 45% believe it is a manmade problem, which is down from 54% back in 2008. "outfront" tonight, erick erickson and john avlon. so, the president in his inauguration speech took on those who don't believe in climate chang

tragedy. how can we keep going higher with the disarray in washington? the general sense that the economy's not getting any better. is it? the answer's simple. why you may not think the overall economy is getting better, you're missing the big picture, partner. if you were to ask me to game the market using just one figure, one figure only, it wouldn't be what apple earnings, the gross domestic product, the growth rate of earnings or the dividend yield of the s&p, it would be the weekly jobless claims. the weekly jobless claims is an indicator of future employment in this country. there's absolutely no coincidence that we had five-year highs today in the stock market. at the same time that unemployment claims hit five-year lows. it isn't fanciful that the market's roaring because jobs are being created at accelerating pace. it's the most determinant of the stock market. after all, the market got crushed when unemployment went above 5.5% and soared right into the great recession. i think these positive numbers are occurring because of the certainty that comes from putting a presidential el

or bellwethers for the stock, the overall u.s. stock market and the economy. and they're converging right now. eric marshall, at 417 billion dollars in market cap on both of these companies, who do you see is having the best value opportunity right now? exxon mobil or apple? >> i would be hesitant. they're both very -- two very different companies. i would use two different methodologies to value them. i can tell you at the hodges funds we believe that the future, any stock price is really just a function, a future earnings and cash flow. those are the things that we would be focused on. when you look at apple's valuation coming down here you really have to dissect and look at what are they going to earn over the next few years, what type of cash flow are they going to generate for the shareholders? and if you think that that is a good value at this price, it certainly is a lot easier to make an argument than it was when the stock was at 600 or 700. >> do you like it? need to be focused on. really >> do you like it? >> sounds like you do. >> well, you know, we're focused in our small cap fund

...how the recent dip in american paychecks-- is effecting the economy. the school of sachs. do you have what it takes to cut it in a goldman sachs business class? and... why bulls are rushing the market ... first business starts now.... you're watching first business: financial news, analysis, and today's investment ideas good morning, i'm angela miles. it's january 22nd. in today's first look strap yourself in.. between action this weekout of washington and a heavy week of earnings it's likely to be an active trading week. stocks inched up modestly during the past trading week. nasdaq gained the least-- mostly because shares of apple lost nearly 4%. the senate takes up the assault weapons ban... and johnson and johnson is reportedly negotiatin a $2 billion dollar settlement with patients who received recalled artifical hips philip streible of rjo futures joins us now for a look at the trading week ahead. good morning to you. hope you had a nice weekend off. let's start with this bullish situation. i'm almost starting to feel like there are too many bulls in the market. everybody loves t

for sure where the economy is going. we don't know if that was a temporary thing. we don't know if it was money that came in early because of the federal tax concerns and the people who are the most wealthy in california paying early. the bottom line is we don't really know what those revenues are. i think the governor wants to wait and see what they are before he starts talking about those restorations. you know what, one of the really fascinating things in this speech, the governor made a point of saying, you know, just giving money back to people only to take it away when the economy goes bad is cruel. it's not progressive. it is bad politics. it's bad for the people. it's bad governing. i'm not going to go back and do that. i think you are going to hear the governor make this time and again that we want these programs, but if it's not long-term sustainable money, we shouldn't be spending it. >> since you're talking about long-term projects, john, he still wants the water tunnels. he still wants high-speed rail. how realistic are those goals given that there's so much uncerta

by superstorm sandy. >> dupont 2013, a cautious year with the slow growth world economy. how worrisome are those comments from the economic bellwether. >> j & j exceeds estimates. the full year forecast a bit below the streets, as investors pay close attention to new ceo alex gorsky. >>> the dow component reporting fourth quarter numbers of 38 cents. that was well below estimates. verizon said the results were impacted by superstorm sandy. we're just getting details now, david, on activations on things like the iphone, 6.2 million, not too shabby. >> the problem was not necessarily activations, carl. the key is simply that margins came in even worse than had been anticipated. this, after the company already guided them down a bit at the consumer electronics show a couple of weeks back. and there, of course, you're talking about operating koose i higher than anticipated. investors may be a little concerned today when you take a look at that chart there. now, listen, to carl's point, they're adding a lot of customers. they're activating a lot of devices. we talk often about the subsidy for the app

of google and ibm. an indication of the strength of the global economy. yes, obviously, the fed is juicing this real, but cash on balance sheets is at record highs. unemployment seems to be stabilizing, and have you nowhere else to go, if you go to cash, what are you making, nothing? >> nothing. >> go to bonds, nothing. >> might as well put it in the mattress. >> exactly. >> watching google there. waiting for those numbers. not out yet. estimates coming down. rich peterson what, role does technology play in this market right now? how important are they? >> it's always the audio. >> in terms of the s&p capital estimates, looking for a 1.4% decline and earnings in the fourth quarter. however, you look at the low point for the earnings decline for the sector we're seeing upturned in the first quarter, second quarter 2013. however, i think, you know, we had a big rise with many m & a deals last year in the sector. investors should not be ignoring the risk out there. so far the s&p 500, so many headwinds out there in terms of what the fed may be raising rates some time. >> okay. so you see tech

democracies, because of the nature of our energy economy, they all have big state oil companies. bp, and mexico, and most of the states have privatized them but even bp -- were article shatly stalestate owned as recent as the 1980s, exxonmobil is our state oil company. they're a much more coherent expression of our national energy policy then the federal government is, and they're just as powerful relative to the state as tal is so france and even more. so only in america would we have a state oil company that lives in opposition to the state in which it resides. rex tillerson recently told scouting magazine his favorite book is atlas shrugged by ayn rand, and it suggests an attitude of skepticism toward the government that is peculiar. now, a company in france or italy or britain would be -- would have all again to the same universities as the president of the united states, they would be buddies and a locking sense of world view and maybe even,s they would work arm in arm with the french government abroad in order to secure they're -- their interests, but this country, we're skept

are changing the economy and could cost us billions and drive a hole in the budget. the ultimate cost of expending our health care system under the affordable care act is unknown. ignoring such evunknowns is fol. that is how we plunged into a decades of deficits. >> reporter: the governor summed things up by saying california is back. the budget is balanced and the state is on the move. the governor's address is garnering praise from both sides of the aisle. we will have reaction tonight at 5:00 and 6:00. reporting live, jody hernandez, nbc bay area. >>> excavating a new well today linked to the speed freak killers. this is in the same area where the well remained some of the victims of lauren herzog. several of the victims families criticized investigators for using heavy equipment saying that may have damaged the remains. the fbi is taking a careful approach on this well using a bore and camera. once they know what is there, they plan to excavate the well by hand. it will take several days if not weeks. >>> the highway patrol asking for witnesses to come forward and try to identify

their agenda today as well. cutting spending. >> our nation's total debt is now larger than our entire economy. this means that every man, woman and child owes a $53,000 share of this debt. that level of spending is unsustainable. a major credit rating agency has already downgraded our nation's credit once. and if we don't start making some real progress on spending reforms, more downgrades are likely in the near future. >> about eight minutes past the hour now. live look this is happening in washington, d.c. as we speak. this is happening really across the country. one of the main ones, this is a rally for gun control taking place in washington, d.c. people there are rallying for stricter gun laws. you know this has been the big debate in the country since the shooting, the killing of all those children in newtown, connecticut at their elementary school. you're seeiie seeing eleanor ho. expecting residents of newtown, connecticut to play a role in this march today. we don't have a wider shot of how many people turned out. march happening going to keep an eye on it there in washington, d.c. >>

, overseas, coach is good in china, by the way, but they are not barometers of the u.s. economy anymore. and nordstroms would tell you that nordstrom's is doing fabulous. do not extrapolate coach, do not extrapolate tiffany. >> same thing you said about rails yesterday. >> union pacific, beautiful number. >> when we come back, the opening trade on am following earnings last night, how low will the iphonemaker go? down 10% premarket. later on, julia boorstin's interview with reed hastings of netflix, soaring on the unexpected private. [ indistinct shouting ] ♪ [ indistinct shouting ] [ male announcer ] time and sales data. split-second stats. [ indistinct shouting ] ♪ it's so close to the options floor... [ indistinct shouting, bell dinging ] ...you'll bust your brain box. ♪ all on thinkorswim from td ameritrade. ♪ >>> watching cnbc's "squawk on the street," live from the financial capital of the world. what a morning, watch netflix, apple, 3 m, other names. the dow if it's up today, makes it 10-11, we have not done that since a 12-13 streak, guys, in april of 2010. which has som

. republicans support the bill and say it will help the state economy, and also send a message to the federal government, but democrats worry it could be unconstitutional and result in a lawsuit, like it has in other states, with similar laws. michigan's gop governor rick snyder told them they should focus on the economy and mental health issues instead. joining me from lansing, michigan, republican senator mick jones, welcome. >> good morning. >> good morning and thank you for being here. no federal gun laws have even been passed so pardon the pun, aren't you kind of jumping the gun? >> not really. you know, there's much talk about blocking all semiautomatic guns and michigan has a rich hunting heritage, we hunt deer with semiautomatic rifles, we hunt ducks, rabbits and turkeys with semiautomatic shotguns and we believe -- >> ar-15 s though? come on. >> ar-15 hunt things like coyotes. >> but they're not normally used. >> you know, many people use them to defend their selves, their homes and you know as a former sheriff, as a police officer for 31 years, i can tell you that guns are not evil

their education is a reflection of the struggling economy and greater competition for new jobs. >> the job right for male students was about 3.8%, four females that was lower than that just under 3%. >> but drop out rate was higher among teen boys in every state. >> apartment in new york city are about to get a lot smaller. >> expectations that population and rents will keep climbing are challenging architects to design boeing is no larger than a one car crotch. >> the city plans to construct an apartment building a so-called micro unit in manhattan next year. >> they're expected to average about 325 square feet. >> if successful, it could possibly overturn a requirement that new apartment be a least 400 square feet feet. >> today marks the 40th anniversary of the landmark supreme court ruling of a rolwe vs. wade. >> the ruling legalized in the u.s.. >> in 1973, the highest lawmaking body in the country voted that woman has the right to abort her pregnancy. it prompted a nationwide debate about a mother's rights, which continues today. >> that is the spirit! san francisco and elsewhere around th

recession. when people are concerned about the economy, issues that are important but not urgent like climate change fall down the scale. the second change, the rise of the tea party. are you willing to work with the other side? newt gingrich took a lot of heat for that ad with nancy pelosi during the campaign. those two factors drive this issue down, but something like hurricane sandy, that could be a wake-up call. >> and hurricane sandy cost a lot of money. now, it's tough with all the pork that went in the bills, but bear with me, we got a $50 billion appropriation that just came to affected states. that cost a lot of money. so might it not, even if we're not really sure what a cut in emissions might do right now to the trajectory of the climate change that we've experienced, might it not be worth trying to do something about things? whether through carbon monoxide emissions, co2? >> no, i don't think so. no matter what we do, we're not going to have the impact unless the rest of the world goes along and we're going to drive up costs on people. for example, coal-fired plants. 19 ju

paints. the tester says steer clear of economy paint. >> a good price is a good thing but stay away from inexpensive paints. >> you do not need to spend top dollar. benjamin moore which can cost up to $68 a gallon did well but was not top rated in consumer reports latest paint test. the highest scores went to paints that cost half that, a new brand called clark and they are sold at ace hardware selling for $33 a gallon. >> it topped the rating in satin finish. and in semi gloss and among the best in the flats hiding imperfections. >> the clark paints resisted stain and stood up to scour after 1,000 passes with a stiff scrub brush. plus, the paints are great at hiding so you can cover the old paint you are tired of looking at. >> you can save time and money by not having to apply a primer. >> and you can buy it as the local ace. if you shop at home depot paints available here did well. including several recommended in all changes including bayer premium plus which sells for over $20 a gallon. and another for $25 a gallon. if you like lowe's a signature paint in all three finishes for arou

the global economy, in large part because one strategist told me it appears japan, or the yen is a reserve currency, the attractiveness there is starting to diminish as people become more optimistic about risk asset. great horizons a great child care company based in watertown, massachusetts. the company was priced at $22 a share. but right now the indication is $25 to $27. 10.1 million shares being very well received by the investment community today. a couple of the stocks we'll be watching today. the earnings parade continues. halliburton opening at a 52-week high after it came in with earnings of 63 cents a share. its international operations helping to offset the weakness in the north american operations. the company also actually said weakness in north america could continue this year -- continue through 2013. but obviously investors like the news on the results. hasbro had a weak fourth quarter. the earnings revenue came in below expectations. the company plans to cut 10% of the work force as a result of the disappointing earnings. there you can see its stock under pressure today. l

. as always, david, thanks. >>> we're going to turn now to economy and the stock market on quite a roll. last night here, we reported on american baby boomers finally seeing a recovery in their 401(k)s. the dow closing near 13,896. nearing that psychological barrier of 14,000. and approaching the all-time high from 2007, before the recession. but, even as the dow makes this rebound, why is an american giant apple not benefitting? tonight, many questioning whether the loss of steve jobs has hurt the company for good? here's "good morning america" weekend anchor bianna golodryga tonight. >> it's what you wanted, it's what your gut, instincts wanted. >> reporter: in the new biopic, "jobs," ashton kutcher playing the role of steve jobs -- talking about instinct. knowing what the average american consumer needs and wants before they even know it. it's what helped jobs -- long after ascending to the top of his industry -- stay far ahead of the pack. but this week, a huge bit out of the once mighty apple. after soaring to a record stock price just four months ago, the tech giant has plunged nearly 4

. look, we'll know more about the health of the u.s. economy. we'll get a report on durable goods order. tuesday, we'll get a report on housing. another one on consumer confidence. wednesday, the fed will release minutes from its meeting. two-day meeting this week. and you know, we'll know more about its monetary policies. also, wednesday, we'll get a first look at fourth-quarter gdp. friday, you get the january jobs report. economists are pretty optimistic on that. the jobless rate could fall slightly to 7.7%. that's a big lineup. >> that's like the super bowl. you're not lying one bit and the ads are really good as well. >>> you might think twice about breaking out the plastic. as of sunday, stores in most states could begin charging a checkout fee on all credit card purchases. it comes from a settlement in july from the credit card issu r issuers and stores. as a result of the settlement, credit card issuers said they would reduce the fees paid by merchants to issuers. the settlement also gave retailers the option to add a surcharge to cover processing cost. many of the nation's bigg

. what's going on is the economy has improved steadily enough for long enough, that it kind of feels that way to most people. and i think also these megathreats have receded a little bit. at one time or another, we were expecting europe to fall apart, china to fall into recession or the united states to fault on its debt. those things have faded into the background. i do think there's a chance that, now, we're back to a normalcy situation in the market. you can roll along. but i think it's come a little bit far in a short period of time. up more than 10% in ten weeks. it usually doesn't keep that pace up. >> for the first time in a long time, we're seeing the individual investor starting to invest their money. mutual funds have had the best week they've had since 2000. what does it mean for the personal wealth in this country? >> if you've been in the market, the market's done you a favor for doubling again since march 2009. interest rates are so low, i have to at least try to participate. what you should keep in mind, this is not early in the run. when you've been rising, it means t

of the struggling economy that's created greater competition for new jobs. darya. >> thank you a lot more. in national moods, supporters of longtime pen state football coach joe paterno are marking the one-year anniversary of his death with a candlelight vigil. the hall of fame coach died of lung cancer last year at 85. his supporters will hold a vigil at the mural in state college that includes a depiction of paternal. the paternal family is expected to attend. >> organizers say they will like 409 candles, one of each of paternal victories before many were stripped as part of the n.c.a.a. sanctions in response to the jerry sandusky sex abuse scandal. >> today marks the fourth anniversary best-40 th anniversary of the roe vs. wade supreme court decision. and a new poll finds the majority of americans who for the first time believe should be legal in all or most cases. >> 7 in 10 people are against roe vs. wade being overturned, which is the highest percentage since 1989. according to the poll, 54 percent of adults said should be legal either always or most of the time. meanwhile 44 percen

today are two, three, four years ago. a weak economy and joblessness and corruption. how is this president and government going to address these very real problems. many agree that it will have a ripple effect throughout the world. >> from cairo, thank you. democratic senator from connecticut is joining us right now. he is just back from a visit to egypt last week there with a congressional delegation from lindsay graham among others. thanks for coming in. >> thank you. >> let's talk about the second anniversary from the overthrow and saw thousands and thousands of people protested president morsi's government in tahrir square. you met with him last week with the congressional delegation. is he someone the u.s. can deal with? >> he is the elected leader of egypt and they have good reason to be in the streets. there is continuing corruption in the egyptian society and government. there very dire economic straights. 40% of the egyptian people make less than $2 a day. there high rates of unemployment and the rights of religious minorities and women are far from secure. fact

few months, not due to the bad economy, but the lack of inventory. dan kerman kron 4 news. >> pam: city college on the brink of closure.after an accrediting commision found numerous violations within city college's structure and finances. the school, serving about 85-thousand students. has until march to turn itself around. the commission gave city college recommendations and deadlines it must meet.to avoid being shut down. tonight -- city college students, employees and community groups are discussing efforts to join together and try and save the institution. kron4's terisa estacio is live out in san francisco where she attended the meeting.that is still going on. terisa? >> reporter: it is, pam. at city college has been in institution since 1935. people want it to remain in tact and what the future holds. behind those doors are the student union. there are people that have gathered of waste to speak about what is going on. i spoke with students on their concerns and hopes for the college. >> reporter: are you concerned about your studies? >> i am very concerned. and i consider m

their 2006 peak. so we've got room here. however, if the economy falls through the floor again, listen, there's nothing you can do. rail cars get hammered, they are very cyclical. secondly, we know the real bull market is in tank cars, which comprised 70% of the rail car industry backlogs. isn't that amazing? it's huge. even better, tank cars are higher margin propositions. and the long backlog means the pricing for these tanks are going to go higher. there are four main players in the business. trinity, greenbeyer and american rail car. we don't want just any rail cars, we want tank cars. and the two names with the most exposure are american rail car, which is symbol arii and trinity industries, i used to talk about that a lot in the old days, trn. if you're looking for a way to play the space, these are the two you've got to go with. american rail car is a pure play on this business, one that gets 20% of the sales from tank cars, i think the most leverage to the bull market and as well as the upside and a 2.8% yield. trinity on the other hand is the broadest supplier out there. it also happ

. savannah? >>> there are signs this morning that the economy is falling out in a big way. the stock market is on a tear now back to pre-recession levels, and unemployment is at a five-year low. jim cramer is host of ""mad mone money". good to see you. we've seen stock markets go up on a housing bubble, on a tech bubble. how do you know the housing market is firmer here? >> i like markets based on employment going higher. i don't think it's any coincidence we have unemployment at a five-yoear low and stocks t an all-time high. >> so we are seeing job growth but we're not seeing job growth to really get the unemployment rate down. what signs are you seeing that tells you employers are really going to start hiring now? >> this economy was brought down by housing and it's going up by housing. housing got so low in this country, we're building half the number of homes we were building just a few years ago, and that employs a huge number of people. >> the stock market is having good times on wall street. how do you get more productivity out of workers so they're not hiring as many people as they

with people who can help our economy. and we can get critical mass, don't expect every single republican to join us. as long as we can get critical mass, i think we can get this done. house democrats want to find solutions, the right kind of compromise. need someone to negotiate with. as long as this republicans will come to the table and reject the my way or the highway negotiating strategy, maybe we can produce a compromise for the american people that make sense. >> congressman, thank you for being with us. thank you. >>> still ahead this morning, the president says if he a son, he's not sure he would let him play football. we'll speak with former college football coach jack crowe, when we come back. twins. i didn't see them coming. i have obligations. cute obligations, but obligations. i need to rethink the core of my portfolio. what i really need is sleep. introducing the ishares core, building blocks for the heart of your portfolio. find out why 9 out of 10 large professional investors choose ishares for their etfs. ishares by blackrock. call 1-800-ishares for a prospectus which in

in the near look for home sales to drop over the next few months not due to the that the economy but the lack of inventory. >> an kerman kron 4 news. >>--dan kerman kron 4 news. >> the new span of the bay bridge will be monitored with a $26 million stake of the guard cameron network, despite earlier concerns about the plan's bid price tag. the metropolitan transportation commission approved the new system which was recommended by the chp after it conducted a security analysis of the new $6.3 million span. >> on to national news. a confirmation hearing today for a democratic senator, john kerry, who expected to get overwhelming support as the new u.s. secretary of state. >> the five term massachusetts senator will testify before the senate foreign relations committee. >> he said to be introduced by outgoing secretary hillary clinton, massachusetts senator elisabeth warren and senator john mccain. mccain and kerry have worked closely on national-security issues. kerrey has also served on the foreign relations committee for 28 years and led it for the past four years. >> lawmakers in rhode islan

with housing start numbers i showed you, housing sales that are going on, modestly well for the economy. >> is there any correlation with unemployment numbers, income numbers with this trend? in housing? >> not directly, no. and to your point, income numbers have been weak, a little bit of strength lately, but they're generally weak. unemployment is obviously weak. but there's a huge amount of pentd-up demand. there have so few people that have been buying houses the past few years that even with those numbers still weak, there are a lot of people out there. inventory for houses is only about four months nationwide. it was a year a couple years ago. so however they're doing it, people do want to buy houses right now, and they're finding the money to buy at lower price points than they used to buy. >> steve rattner, our personal finance editor. >> there you go. >> to buy now. >> news you can use. >> how to save the auto industry in 30 seconds. >> we wanted to put up steve's cell phone in case people had any more questions. >> or if we want a mortgage. >> steve's house of mortgages. >> yo

of year. ♪ nice sweater. thank you. ♪ thank you. ♪ (train horn) vo: wherever our trains go, the economy comes to life. norfolk southern. one line, infinite possibilities. it's lots of things. all waking up. ♪ becoming part of the global phenomenon we call the internet of everything. ♪ trees will talk to networks will talk to scientists about climate change. cars will talk to road sensors will talk to stoplights about traffic efficiency. the ambulance will talk to patient records will talk to doctors about saving lives. it's going to be amazing. and exciting. and maybe, most remarkably, not that far away. the next big thing? we're going to wake the world up. ♪ and watch, with eyes wide, as it gets to work. ♪ cisco. tomorrow starts here. or treat gas with these after you get it. now that's like sunblock before or sun burn cream later. oh, somebody out there's saying, now i get it! take beano before and there'll be no gas. >>> the communist nation plans to carry out a nuclear test and more long-range tests as part of an all-out confrontation with the united states. leon panetta say

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